Nepra approves cut in Discos’ FCA for September

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has approved a reduction of Rs1.27 per unit in the fuel cost adjustment (FCA) for power distribution companies (Discos), resulting in a massive refund of Rs15.5 billion for electricity billing in September 2024.

The decision came after a hearing held on October 30, 2024. The Central Power Purchasing Agency (CPPA-G) had initially proposed a smaller adjustment of 71 paisas per unit to refund Rs8.5 billion.

This reduction will apply to most consumer categories, excluding lifeline consumers, domestic users consuming up to 300 units, electric vehicle charging stations (EVCS), pre-paid electricity users across all categories and agricultural consumers.

Domestic consumers with Time of Use metres will also benefit from this adjustment. It will be reflected separately on consumer bills based on electricity usage for September 2024 and adjustment will be made in bills issued in November 2024.

Amir Sheikh and Muhammad Arif also voiced concerns about the non-operation of the Neelum-Jhelum power plant, which is estimated to require around Rs256 billion for repairs to become operational again, as reported by the media.

Nepra confirmed that a high-level committee, established by the federal government, is investigating the matter, and its findings will determine the plant’s future.

Read next: Taxpayer complaints against FBR rise by 67 per cent: FTO